Macedonia Population: 2,087,171

Macedonia gained its independence peacefully from Yugoslavia in 1991. Greece's objection to the new state's use of what it considered a Hellenic name and symbols delayed international recognition, which occurred under the provisional designation of "the Former Yugoslav Republic of Macedonia." In 1995, Greece lifted a 20-month trade embargo and the two countries agreed to normalize relations, but the issue of the name remained unresolved and negotiations for a solution are ongoing. Since 2004, the United States and over 130 other nations have recognized Macedonia by its constitutional name, Republic of Macedonia. Some ethnic Albanians, angered by perceived political and economic inequities, launched an insurgency in 2001 that eventually won the support of the majority of Macedonia's ethnic Albanian population and led to the internationally brokered Ohrid Framework Agreement, which ended the fighting and established guidelines for the creation of new laws that enhanced the rights of minorities. Fully implementing the Framework Agreement, maintaining momentum on democratic reforms, and stimulating economic growth and development continue to be challenges for Macedonia, although progress has been made over the past several years.

conventional long form: Republic of Macedonia conventional short form: Macedonia local long form: Republika Makedonija local short form: Makedonija note: the provisional designation used by the UN, EU, and NATO is the "former Yugoslav Republic of Macedonia" (FYROM) former: People's Republic of Macedonia, Socialist Republic of Macedonia

adopted 17 November 1991, effective 20 November 1991; amended November 2001, 2005, and in 2009 note: amended November 2001 by a series of new constitutional amendments strengthening minority rights, in 2005 with amendments related to the judiciary, and in 2009 with amendments related to the threshold required to elect the president

cabinet: Council of Ministers elected by the majority vote of all the deputies in the Assembly; note - current cabinet formed by the government coalition parties VMRO-DPMNE, BDI, and several small parties (For more information visit the World Leaders website )

elections: president elected by popular vote for a five-year term (eligible for a second term); two-round election: first round held on 22 March 2009, second round held on 5 April 2009 (next to be held in March 2014); prime minister elected by the Assembly following legislative elections; the leader of the majority party or majority coalition usually elected prime minister

unicameral Assembly or Sobranie (123 seats; all members elected by popular vote from party lists based on the percentage of the overall vote the parties gain in each of six electoral and three diaspora districts; members serve four-year terms)

highest court(s): Supreme Court (consist of NA judges); Constitutional Court (consists of 9 judges) judge selection and term of office: Supreme Court judges nominated by the Judicial Council, a 7-member body of legal professionals, and appointed by the Assembly; judge tenure NA; Constitutional Court judges appointed by the legislature for nonrenewable, 9-year terms

subordinate courts: Courts of Appeal; Basic Courts

Political parties and leaders:

Albanian Democratic Union or BDSh [Bardhyl MAHMUTI] Democratic League of Bosniaks in Macedonia [Rafet MUMINOVIC] Democratic Party of Serbs in Macedonia or DPSM [Ivan STOILJKOVIC] Democratic Party of the Albanians or PDSh [Menduh THACI] Democratic Party of Turks of Macedonia or DPTM [Kenan HASIPI] Democratic Renewal of Macedonia or DOM [Liljana POPOVSKA] Democratic Union or DS [Pavle TRAJANOV] Democratic Union for Integration or BDI [Ali AHMETI] Dosoinstvo (Diginity) [Stojance ANGELOV] Internal Macedonian Revolutionary Organization - Democratic Party for Macedonian National Unity or VMRO-DPMNE [Nikola GRUEVSKI] Internal Macedonian Revolutionary Organization - People's Party or VMRO-NP [Ljubco GEORGIEVSKI] Liberal Democratic Party or LDP [Andrej ZENOVSKI] Liberal Party of Macedonia or LP [Ivon VELICKOVSKI] Movement for Turkish National Union [Erdogan SARAC] National Democratic Revival or RDK [Rufi OSMANI] New Democracy or ND [Imer SELMANI] New Social-Democratic Party or NSDP [Tito PETKOVSKI] Party for Democratic Action of Macedonia or SDA [Avdija PEPIC] Party for the Total Emancipation of Roma or PCER [Samka IBRAIMOVSKI] Party of United Democrats of Macedonia or PODEM [Zivko JANKULOVSKI] Party on European Future or PEI [Fijat CANOSKI] Serbian Progressive Party in Macedonia or SPSM [Dragisha MILETIC] Social Democratic Union of Macedonia or SDSM [Branko CRVENKOVSKI] Socialist Party of Macedonia or SP [Ljubisav IVNAOV DZINGO] Union of Roma of Macedonia or SR [Amdi BAJRAM] United for Macedonia or OM [Ljube BOSKOSKI]

Macedonia is vulnerable to economic developments in Europe - due to strong trade ties - and dependent on regional integration and progress toward EU membership for continued economic growth. At independence in September 1991, Macedonia was the least developed of the Yugoslav republics, producing a mere 5% of the total federal output of goods and services. The collapse of the Socialist Federal Republic of Yugoslavia ended transfer payments from the central government and eliminated advantages from inclusion in a de facto free trade area. An absence of infrastructure, UN sanctions on the downsized Yugoslavia, and a Greek economic embargo over a dispute about the country's constitutional name and flag hindered economic growth until 1996. Since then, Macedonia has maintained macroeconomic stability with low inflation, but it has so far lagged the region in attracting foreign investment and creating jobs, despite making extensive fiscal and business sector reforms. Official unemployment has remained consistently high at more than 31% since 2008, but may be overstated based on the existence of an extensive gray market, estimated to be between 20% and 45% of GDP, that is not captured by official statistics. In the wake of the global economic downturn, Macedonia has experienced decreased foreign direct investment and a large trade deficit. However, as a result of conservative fiscal policies and a sound financial system, in 2010 the country credit rating improved slightly to BB+ and was kept at that level in 2011-12. However, macroeconomic stability has been maintained by a prudent monetary policy, which keeps the domestic currency pegged against the euro. As a result, GDP growth was modest, but positive at about 3% both in 2010 and 2011, and inflation was under control. The government loosened fiscal policy in 2012 and the budget deficit expanded to 3.5% of GDP.

note: official data from Ministry of Finance; data cover central government debt; this data excludes debt instruments issued (or owned) by government entities other than the treasury; includes treasury debt held by foreign entitites; excludes debt issued by sub-national entities, as well as intra-governmental debt; there are no debt instruments sold for social funds

public TV broadcaster operates 3 national channels and a satellite network; 5 privately owned TV channels broadcast nationally using terrestrial transmitters and about 15 broadcast on national level via satellite; roughly 75 local commercial TV stations; large number of cable operators offering domestic and international programming; public radio broadcaster operates over multiple stations; 3 privately owned radio stations broadcast nationally; about 70 local commercial radio stations (2012)

Kosovo and Macedonia completed demarcation of their boundary in September 2008; Greece continues to reject the use of the name Macedonia or Republic of Macedonia

Refugees and internally displaced persons:

stateless persons: 905 (2012)

Illicit drugs:

major transshipment point for Southwest Asian heroin and hashish; minor transit point for South American cocaine destined for Europe; although not a financial center and most criminal activity is thought to be domestic, money laundering is a problem due to a mostly cash-based economy and weak enforcement